Canty dairy compliance continues to improve

August 29, 2014

Good news for farming and the environment:

Canterbury Regional Council says it is pleasing no dairy farms had to be prosecuted for a lack of compliance with environmental standards this year.

Council officers visited more than 1000 dairy farms in Canterbury and found over 70-percent fully complied with the conditions of their dairy effluent consents.

Seven abatement and 13 infringement notices were issued. . .

This is the result of a lot of hard work by farmers and their advisors:

Canterbury’s dairy farmers 72 percent full effluent compliance result, with no prosecutions, for the 2013/14 season shows they are taking their responsibilities seriously and the hard work is paying off.

“Firstly, I would like to congratulate the 1093 dairy farms in Canterbury that have made this happen,” says Jessie Chan-Dorman, Federated Farmers mid-Canterbury Dairy Chair.

“Farmers have really stepped up and are making adjustments to meet conditions in their effluent consents. Whilst we are not at 100 percent full compliance yet, we are seeing a positive trend with a reduction in the level of non-compliance.

“This has by no means been easy, but there has been a lot of investment by farmers, and support through industry initiatives, such as the Sustainable Dairying: Water Accord and the Canterbury Dairy Effluent Group, which have pooled resources to help drive change within the industry.

“The proof is in the pudding, where farmers have been much more proactive and meticulous in understanding and adhering to the conditions in their effluent consents.

“Effluent compliance is not a one day a week job; it is seven days a week 52 weeks of the year, so full compliance for 2013/14 being 32 percent higher than in 2008 is a huge feat. We are pleased to see the positive trend.

“We are moving to the next step now with effluent where it is not just about compliance. There are economic benefits on-farm if we can use effluent wisely as a nutrient source.

“Now that we have better outcomes with our use of effluent, the next challenge for Canterbury dairy farmers will be nutrient management, especially in the face of the Land and Water Regional Plan and the Canterbury Water Management Strategy.

“I know we will see continued improvement if we are to reach realistic targets and time frames,” concluded Mrs Chan-Dorman.

This confirms my observations of a change in attitude and practice by farmers to ensure they are doing all they can to protect and enhance the environment.

There’s been a lot of work done to ensure compliance with effluent consents and reduce leaching of nutrients and all the farms in our area have fenced waterways and carried out riparian planting.


Rural round-up

August 28, 2014

Fonterra to offer at least 20% premium for Beingmate shares in deal to drive Anmum sales - Jonathan Underhill:

 (BusinessDesk) – Fonterra Cooperative Group will offer a premium of at least 20 percent for a one-fifth stake in Beingmate Baby & Child Food as part of a $615 million investment in a partnership to drive baby food sales into China.

Fonterra will offer 18 yuan a share for Beingmate stock in a partial tender offer that will be supported by chairman Wang Zhentai, who will sell down his stake to about 33 percent in the transaction.

Based on Reuters data, Beingmate has 1.02 billion shares on issue, suggesting the offer values the Chinese company at 18,360 billion yuan and Fonterra would pay 3.67 billion yuan, or NZ$714 million to build a 20 percent stake. The shares last traded at 14.36 yuan before being halted from trading, according to Reuters data. . . .

New Zealand And International Investment Welcomed by Farmers:

Fonterra Shareholders’ Council Chairman, Ian Brown said today’s announced investments in New Zealand’s milk pools and a global partnership with China’s Beingmate were bold moves that would be welcomed by the Co-operative’s Farmers.

Mr Brown: “There is a direct link between the $555 million investment in the Lichfield and Edendale sites and the $615 million investment in the partnership with Beingmate in that both align with the Fonterra strategy of increasing the volume and value of our milk.

“The investment in New Zealand operations is a real positive and will optimise the Milk Price we receive by enabling our Co-op greater flexibility in deciding which products our milk goes into and when. . . .

 Fonterra news ‘as far from milk & disaster as the moon’:

Farmers will be breathing a huge sigh of relief with Fonterra’s benchmark forecast payout for 2014/15 being held at $6 per kilogram of Milk Solids (kg/MS), while other aspects of the announcement are a great boost of confidence in New Zealand agribusiness.

“This is as far from milk and disaster as the moon is,” says Andrew Hoggard, Federated Farmers Dairy chairperson.

“While this season remains a super trim one last season was definitely a silver top one.

“The milk price hold is good news given there’s been widespread speculation about it sliding below the $6 mark, however, we’re not out of the woods yet. We still advise farmers to err on the side of caution by budgeting in the mid-$5 payout range. . .

Major boost for Otago conservation projects:

Associate Conservation Minister Nicky Wagner today announced $475,000 in funding for four Otago conservation projects.

Community Conservation Partnership Fund grants will be made to the Orokonui Ecosanctuary, Landscape Connections Trust, Otago Peninsula Biodiversity Group, and Herbert Heritage Group.

“The projects these groups are advancing align perfectly with the Department of Conservation’s goals of connecting more urban dwellers to conservation and working in partnership with others.

“The Orokonui Ecosanctuary is recognised as the flagship biodiversity project in the South Island and is achieving its aim of restoring the coastal ecosystem to pre-human state. . .

The long arm of health and safety gets longer – Andrew McGiven:

We’ve all heard about the Marlborough farmworker copping $15,000 worth of fines related to a quad bike.  Helmet use is in the Department of Labour’s (now Worksafe NZ) ‘Guidelines for the safe use of quad bikes.’  . 

While there’s been plenty of discussion about the fine what has slipped under the radar are other recommendations in the guide.  One is recognising dangerous areas on-farm and establishing ‘no-go’ zones in your health and safety plans. 

Another case, highlighted for us by Neil Beadle, a Partner at Federated Farmers’ legal advisors DLA Phillips Fox, rams home the bite of these recommended ‘no-go’ zones.  It involved a Mangakino sharemilker with an otherwise good record who tragically lost a farm worker when their quad bike flipped.  . . .

Beet crop ‘revolution for beef farmers’:

The growth in the use of fodder beet as a forage crop in the beef industry has been so rapid, that seed supplies for the coming growing season are expected to run out.

That is the prediction from Dr Jim Gibbs, a senior lecturer in livestock health and production at Lincoln University, who has done years of research on feeding cattle on what has become a revolutionary crop in this country.

Fodder beet is a bulb crop related to beetroot but can grow to huge sizes.

Dr Gibbs’ work was initially for the dairy industry, but the demand for fodder beet really exploded when he introduced it to the beef industry, and he says it has become the fastest growing forage crop by a long shot. . . .


Rural round-up

August 21, 2014

Increases for fish stocks show success of QMS:

Primary Industries Minister Nathan Guy has announced increases to catch limits for a range of New Zealand fisheries today, thanks to healthy stock levels.

“This shows the success of our world-leading Quota Management System (QMS). It is flexible and driven by science, which means that we can increase take as stock levels improve,” Mr Guy says.

Healthy stocks have led to increased Total Allowable Catch (TAC) limits for:

• Hoki 1 (10,100 extra tonnes across New Zealand)
• Orange Roughy 7A (1155 extra tonnes on the upper West Coast)
• Orange Roughy 3B (525 extra tonnes around the lower South Island) . . .

Just what the doctor ordered, no way or only a matter of time? - Allan Barber:

There are three possible responses to the prospect of an overseas, probably Chinese, investor buying seriously into the New Zealand meat industry: bring it on, not on your life or it’s inevitable.

So far Chinese interests have recently bought a minority stake in Blue Sky Meats and an application to buy Prime Range Meats is with the Overseas Investment Office; ANZCO is just under 75% Japanese owned with New Zealand management and staff holding the balance. ANZCO’s ownership structure has remained like this for over 25 years bringing positive benefits to the company, its suppliers and New Zealand as a whole. . . .

Back to the future? – Andrew Hoggard:

I am going to propose something provocative.  The big long term issue for us isn’t going to be water but will be employment and occupational health and safety. 

While the mention of water and farming gets some people worked up, the truth will eventually break through the spin and I think we are just starting to see this.  When it comes to employment matters though, our industries have been named by the government’s Worksafe NZ as the most dangerous.  Another part of government says a big minority of employers aren’t meeting basic employment law obligations.

If that’s not enough, we’re fully in the crosshairs of the Council of Trade Unions too. . .

It’s a super trim season yes, but milk and disaster, no – Chris Lewis:

Do you know that in the first half of 2014, the amount of global tradable milk grew by an amazing seven billion litres.  That’s enough milk to fill 2,800 extra Olympic sized swimming pools and it was available for export.  It goes to explain why Fonterra cut this season’s forecast payout by a $1 per kilogram of milksolids (kg/MS).

It would be nice if our politicians realised that farmers have good and bad seasons but they don’t.  All the spending promises seem to assume we’re constantly swimming in greenbacks.  We aren’t.  It is also why anyone, whether a Kiwi or a foreigner, who looks at a farm like a get rich quick property scheme will likely end up come a cropper. 

A farm is your business and your home.  This is why farmers are passionate about what we do and that makes us go the extra mile.  It is why I take exception to the line ‘milk and disaster’ being applied to dairy.  It is super trim season yes, but milk and disaster, no. It is great to see the latest GlobalDairyTrade average still in the US$3,000 a metric ton range but that slight 0.6 percent fall means we are on exactly US$3,000. . .

 High pin bones too prevalent in NZ – Yvonne O’Hara:

New Zealand has a rump angle problem, says Holstein Friesian classifier Denis Aitken.

As well as being a dairy farmer who is trying to retire, Mr Aitken, of Maungatua, is a member of the World Holstein Friesian Federation Type Harmonisation working group. He spent some time in Denmark attending its two-yearly meeting in May.

The working group was seeking to standardise or ”harmonise” 18 different physical traits in Holstein Friesians by classifying or precisely defining the ideal of each of those traits and promoting the evaluation system. . . .

Young Agricultural Professionals Are Driving Agricultural Development – Food Tank:

Young Professionals for Agricultural Development (YPARD) is a global network of young agriculture and development professionals who are coming together to create innovative and sustainable agricultural development. YPARD enables its young members to share knowledge and information, participate in meetings and debates, promote agriculture among young people, and organize workshops.

Food Tank interviewed Rebeca Souza, a YPARD representative in Brazil, to discover what YPARD members have been accomplishing.

Food Tank (FT): How did you become a representative for YPARD?

Rebeca Souza (RS): Last year, I was doing an internship at the U.N. Food and Agriculture Organization (FAO). Three other interns and I decided to organize an event calling on young professionals to share innovative ideas to overcome world hunger and malnutrition. YPARD was one of our partners, and Courtney Paisley, the director, was attending our event. I came to her asking if I could be a country representative in Brazil since no one was appointed to this position yet. She said yes! . . .

 


Rural round-up

August 20, 2014

Waitaki River group objects to planned changes:

The Canterbury Regional Council is promoting changes to give growers and Meridian Energy, which runs the Waitaki hydro-power scheme, certainty of water supply.

But a Waitaki River users group says a deal to drop the river’s minimum flow would badly harm an already sick river.

The Canterbury Regional Council is promoting changes to give growers and Meridian Energy, which runs the Waitaki hydro-power scheme, certainty of water supply.

The plan includes a cut to the minimum flow by a third during a dry spell. . . .

Shark finning to be banned from 1 October:

A ban on the finning of all shark species within New Zealand waters will take effect from 1 October this year, Conservation Minister Dr Nick Smith and Primary Industries Minister Nathan Guy announced today.

“Implementing this ban has happened much faster than originally proposed. It reinforces New Zealand’s strong international reputation for sustainability and protecting our natural environment,” Dr Smith says.

The Ministers released a revised National Plan of Action for the Conservation and Management of Sharks (NPOA-Sharks) earlier this year, which included a commitment to phase in the ban on shark finning in New Zealand by October 2016 at the latest. A first tranche of shark species was to be covered by the ban from 1 October 2014, a second tranche from 1 October 2015, and only the highly migratory blue sharks was to be left until 1 October 2016. . . .

Botulism scare prompts diary working group:

Last year’s botulism scare has prompted the creation of a new working group in the dairy processing sector.

It was one of the recommendations of the independent Government inquiry into the whey protein concentrate contamination, which sent shock waves through New Zealand’s dairy industry.

The inquiry highlighted a shortage of experienced people with processing expertise and so the group has been set up to fix that.

The working group will be chaired by Northland dairy farmer and former Fonterra board director, Greg Gent, who said it was an exciting project. . .

NZ software could scupper mouse outbreaks:

A New Zealand-designed software system designed to predict and tackle mouse outbreaks is being trialled in Australia.

MouseAlert is an interactive website which uses mapping technology to enable arable crop growers to record and view mouse activity in their local area in real time.

Landcare Research has been providing the expertise on building this information into computer models which can then forecast plagues of mice. . .

Farmers welcome GlobalDairyTrade stabilisation:

Federated Farmers is pleased to see stabilisation in the latest benchmark GlobalDairyTrade (GDT) online auction result but warns price volatility will likely continue until well into the last quarter.

“It is great to see GDT average still in the US$3,000 a metric ton range but that slight 0.6 percent fall means we are on exactly US$3,000,” says Andrew Hoggard, Federated Farmers Vice-Chairperson.

“It seems to underscore how similar this season is to 2012/13. At a similar point two seasons ago, the average winning price was just US$54 more except it had come up from the high 2,000’s.

“But before anyone traipses back to the beginning of the year to make a more dramatic story, any price before 1 June is completely irrelevant when you are talking about this 2014/15 season. . .

 

China dangerous market reliance or exciting market growth? – Andrew Watters:

The economic growth of China over the past four years has resulted in huge demand for New Zealand dairy and meat products; lifted our terms of trade to historical highs and provided a major fillip to agriculture and the wider NZ economy.

However the somewhat dramatic slide in global dairy prices since their peak in midFebruary has the appearance of China exiting the market causing demand to stall.

It has prompted several commentators to ponder whether exciting market growth has become market over-reliance.

At MyFarm we see ‘China growth’ as a major boost to farming industry returns – one that will have a profound affect for the next two decades. . .

 

Informercials used to sell NZ meat in China - Dave Gooselink:

TV shopping shows and infomercials have become a popular way of selling everything from exercise equipment to kitchen and beauty accessories. But one New Zealand company has struck gold in China with a very surprising product – packaged meat.

It’s home shopping as most Kiwis will be familiar with, but the Chinese shopping show is selling something a little unusual – prime cuts of New Zealand beef and lamb.

Most of us Kiwis, we’d never think about buying our lamb or beef on a TV shopping channel,” says Silver Fern Farms head of sales Grant Howie. “But in a 30-minute slot earlier this year, we sold 12.5 tonnes of our beef.” . .  .

Minister approves Marlborough coastal plan changes:

Plan changes to enable three new salmon farms in the Marlborough Sounds were signed off today by Conservation Minister Dr Nick Smith at a function at the Marlborough District Council with Mayor Alistair Sowman and representatives from NZ King Salmon.

“These three new salmon farms at Waitata and Richmond in Pelorus Sound and Ngamahau in Tory Chanel are hugely important to Nelson and Marlborough’s aquaculture industry and wider economy. They will enable NZ King Salmon to grow its products from the current 6000 tonnes per year to 9000 tonnes per year in 2015 and 13,000 tonnes per year by 2033. These new farms will grow our GDP by $120 million per year, our exports by $50 million and employment by 150 new jobs,” Dr Smith says.

“I am well satisfied that our region can maintain the conservation and recreation benefits of Marlborough Sounds while enabling the growth of the aquaculture industry. These three farms will take up only about five hectares of surface water space out of a total area of over 100,000 hectares in the Sounds, or less than 0.01 per cent.” . .

The forest safety battle is not yet won

Point scoring in the media will not make our forests safer places to work, says the Forest Owners Association.

“The unions are claiming credit for a sudden reduction in the fatality and serious accident rate and Worksafe NZ is slamming us for a lack of safety leadership. These comments are unbalanced and unhelpful,” says association president Paul Nicholls.

“Political posturing and blaming others won’t save workers lives. To transform the industry’s safety culture, participants will need to acknowledge their past shortcomings and to share experiences and knowledge. They are less likely to be open to this if they are being publicly pilloried.” . .

Implementing Reform:

The sweeping reforms to the ways water is managed, as recommended by the Land and Water Forum two years ago, are now beginning to be implemented. The final shape and rate of reform will be very dependent on what government is elected in a few weeks. Therefore this is a particularly apt event looking at policy reforms that could reshape the way we manage and think about water.

“Implementing Reform” is the theme of the Water NZ annual conference being held at Hamilton’s Claudelands convention centre in the final week of the election campaign – 17 – 19 September.

Water reforms already implemented in Australia will be discussed in the first two sessions of the conference starting at 9.40 am on Wednesday 17. . .

 

 


Rural round-up

August 18, 2014

The circus of foreign ownership - Dr William Rolleston:

The Election has suddenly sparked into life. It was not a policy, a pratfall or a stunt, but Shanghai Pengxin Group’s Overseas Investment Office (OIO) application to buy Lochinver Station.

While Federated Farmers has taken the principled position of trying to learn what the ‘substantial and identifiable benefit’ to New Zealand is of this proposed sale, others have gone off the proverbial deep end.  National has been far too dismissive of concerns being raised in some quarters. Labour has gone to the opposite end by announcing they’d block the sale, along with the Greens.  Meanwhile, NZ First will go further and stop all foreign sales of New Zealand farmland.  That seems to be the position of Colin Craig, who stepped into Mr Peters shoes by breaking this story.

What everyone seems to have forgotten is process.  Our overseas investment rules are meant to operate on fair play under the guise of the OIO.  Instead, it has turned into an election political circus. The coverage of which, has gone global, given the media who have contacted me. . .

Meat and fibre’s time to shine - Rick Powdrell:

Boy oh boy, doesn’t it feel good to be a sheep and beef farmer for once. Of course it wasn’t always that way.  We were the dairy industry for decades, almost as soon as the Dunedin slipped out of Port Chalmers in1882, we rode the sheep’s back.  The good times operated under a simple business model.  We grew meat and fibre and Britain needed it.

Through war and peace, these good times seemed destined to run forever.  Our success blinded us to what the bright sparks at companies like DuPont were doing.  That was until they ‘wool-jacked’ us with oil based fibres.  That wasn’t helped by lamb being seen in the 1970s as your grans’ meal. You could have lamb cooked anyway you wanted as long as it came in a roasting tin.  Other meats became trendier and in some instances, cheaper, while our industry was trapped in a Sunday roast.  . .

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Demand drops for malting barley – Annette Scott:

A shrinking number of Kiwi beer drinkers is creating less demand for malting barley.

As beer consumption falls, coupled with higher prices for New Zealand barley, breweries require less malt and malting companies less barley.

Marton-based malting company Malteurop NZ operations manager Tiago Cabral said New Zealanders’ drinking habits were having an impact on the company. . .

 

Worth sharing - thanks The Horse Mafia

NSW $10m beef deal with China - Roderick Makim:

NSW beef suppliers have secured a $10 million export deal to the Chinese market.

Producers including Andrews Meat Industries in Lidcombe and the Northern Co-operative Meat Company Ltd in Casino are among the NSW suppliers involved in the deal, Deputy Premier Andrew Stoner said today.

Mr Stoner announced the deal while visiting Hong Kong and Shenzhen for a three-day trade mission along with representatives from a range of NSW food companies. . . .


Rural round-up

August 15, 2014

Commission releases draft report on 2013/14 review of Fonterra’s base milk price calculation:

The Commerce Commission today released its draft report on Fonterra’s base milk price calculation for the 2013/14 dairy season. The base milk price is the price Fonterra pays to farmers for raw milk.

The Commission is required to review Fonterra’s calculation of the base milk price each year as part of the Dairy Industry Restructuring Act’s milk price monitoring regime. The review assesses if Fonterra’s calculation approach provides incentives for it to operate efficiently and provides for contestability in the market for purchasing farmers’ milk.

The scope of the Commission’s review is only to look at the base milk price, not the retail price that consumers pay for processed milk. . . .

 

Fonterra’s farmgate milk price out of step with efficiency – Pattrick Smellie:

 (BusinessDesk) – The Commerce Commission says Fonterra Cooperative Group’s decision to cut the last season’s forecast payout to farmer shareholders by 55 cents per kilogram of milksolids below the result produced by its Farm Gate Milk Price calculation is not consistent with the milk price regime’s intention to make Fonterra operate efficiently.

However, it says the decision – the first ever taken to vary the payout from the calculated level since the Farm Gate Milk Price regime came into force in 2009 – was consistent with ensuring competitive provision of milk to alternative suppliers, the commission concluded in its annual review of the regime.

Under the Dairy Industry Restructuring Act, which allowed a merger to create Fonterra despite creating a dominant local market player, the commission must monitor how Fonterra sets the price it pays farmers for milk as part of efforts to ensure it’s possible for local dairy market competitors, such as Synlait or Westland Milk, to emerge.

Under the monitoring and reporting regime, the commission has no ability to force any change on Fonterra. . .

 

Latest dairy farm visits reveal poor record keeping:

The Ministry of Business, Innovation and Employment’s Labour Inspectorate has released the results of the third phase of its national dairy strategy, which involved visits to farms that employ migrant workers.

The findings show that while no exploitative conduct was found, a quarter of the farms visited were in breach of employment laws for poor record keeping.

Senior Labour Inspector Kris Metcalf says the visits were part of a long-term operation to check compliance with minimum employment obligations at dairy farms across the country.

“The majority of the 42 dairy farms visited in this phase were meeting minimum employment standards,” says Kris Metcalf.

“However, 11 farms were found to be in breach of their minimum employment obligations which is disappointing. . .

Government migrant dairy worker survey highlights procedure hole:

Following the third phase of the Ministry of Business Innovation and Employment’s (MBIE) dairy strategy, focussed on migrant workers, Federated Farmers knows a sizable minority of farmers still need to meet basic employment law and the Federation is offering to help.

“The latest information from MBIE shows that there has been a significant improvement in the performance of dairy farmers, but far too many are failing to take accurate time sheets seriously enough,” says Andrew Hoggard, Federated Farmers Employment Spokesperson.

“We are pleased MBIE inspectors did not find any exploitative behaviour of migrant workers on the 42 farms they visited. That said we’ve still got a bit of work to do with our guys on record keeping and basic employment practices. . . .

Softening the dairy blow:

• NZ dollar is under pressure
• Interest rate predictions delayed
• Meat sector outlook remains bullish

While eleven of the last twelve dairy auctions have recorded price falls, the sheer magnitude of the falls is bringing other factors in to play, according to the latest ASB Farmshed Economics Report.

“With dairy prices down by 37 percent on a year ago, the NZD has finally come under some pressure” says Nathan Penny, ASB Rural Economist.

“The NZD has passed its peak. We expect the NZD to trade at around 85 US cents for the rest of the year.”

“The dairy price falls are also a major reason why we’ve pushed back our interest rate call.” ASB Economics now expects the next OCR increase in March 2014 rather than their previous call for a December 2014 hike. . .

 

Working group for dairy processing sector:

Primary Industries Minister Nathan Guy has announced the establishment of a working group to develop a ‘roadmap’ on how to meet the future capability needs of the dairy processing sector.

“This was a recommendation of the independent Government Inquiry into the Whey Protein Concentrate (WPC) Contamination Incident last year. It found that our food safety regulatory model for dairy is among the best in the world, but also recommended improving people capability to strengthen the food safety system.

“The inquiry highlighted the shortage of experienced people with processing expertise across the industry’s regulatory sector, and at all levels of the system. . .

 Does Australia want to compete? – Jo Bills :

Recently the Business Council of Australia released a report it commissioned from McKinsey & Co – Compete to Prosper: Improving Australia’s global competitiveness.

It was fascinating reading – taking a helicopter view of the Australian economy and the global competitiveness of industry sectors.

Most of us probably regard Australia as a trading nation, but the McKinsey analysis highlights the fact that our economy remains quite inwardly focussed – while we are the world’s 12th largest economy, we rank 21st in terms of global trade – well behind some that you might assume we should be ahead of.

As part of the study, the McKinsey number-crunchers developed a Relative Competitiveness Score, applied it to all sectors of the Australian economy and found that only one sector – agriculture – stood out as truly competitive. . .

Boost for wilding tree control in Waimakariri:

A group of volunteers dedicated to clearing wilding trees around Flock Hill in upper Waimakariri is to receive a major funding boost, Associate Conservation Minister Nicky Wagner announced today.

Waimakariri Ecological and Landscape Restoration Alliance will receive $309,000 over the next three years from the Department of Conservation’s Community Conservation Partnership Fund.

“Wilding trees are now the most significant threat to biodiversity and infrastructure in the 60,000 hectares of public and privately owned lands in the upper Waimakariri Basin. . .

Forest contractors welcome WorkSafe submission:

Today the government’s safety agency for forestry, WorkSafe NZ, has publicly released its submission to the panel of the Independent Forest Safety Review. The Forest Industry Contractors Association (FICA), the industry group that originally initiated the review, has welcomed the comments from the regulator.

“We’re pleased that some vital issues have been highlighted by Gordon MacDonald’s WorkSafe NZ team,” says spokesman John Stulen of the Forest Industry Contractors Association, “They’ve made some very practical observations vital to making change in our industry.”

Stulen says WorkSafe NZ has been open and frank in their criticism of some shortcomings, yet has also been constructive at the same time. . .

Feed Partnership Set to Shake Up South Island Mag Regime:

South Island dairy farmers can now reap the rewards of a revolutionary new Magnesium product, which is transforming Magnesium use in dairying.

Animal feed ingredient supplier, BEC Feed Solutions, is partnering with South Island animal feed manufacturer and blender, James & Son (NZ) Pty Ltd, to give the region’s dairy farmers convenient access to its Bolifor® MGP+ product.

Bolifor® MGP+ is a unique alternative to messy pasture dusting and laborious daily drenching, and contains the essential minerals Magnesium and Phosphorus in the one product. It’s anticipated thatBolifor® MGP+ will be well received in the South Island, given that farmers, vets and animal nutritionists are observing an increase in Phosphorus deficiency due to the region’s dependency on fodder beet crops and changing land use. . .


Water policy attack on rural NZ

August 11, 2014

Environment Minister Amy Adams says Labour’s water tax is a pointed attack on rural New Zealand and small businesses that operate there.

“Labour is suggesting that rural New Zealand should pay taxes that no other New Zealander has to pay and should abide by rules that other water users aren’t subject to,” Ms Adams says.

“In fact, under Labour’s plan, the productive sector could be hit with a $60 million bill for every one cent of tax Labour imposes per cubic metre of water.

“You have to ask why Labour is looking to penalise farmers and small, rural businesses by making them and only them pay for water use when the issue of water quality is one that applies across urban and rural New Zealand.

“It’s an out-and-out attack on rural and provincial New Zealand.

“Only a few days ago Labour was claiming they supported small businesses. However, Labour’s water tax, which they are hiding the amount of, would cause real damage to hundreds of small, rural businesses in the productive sector.

“It’s not just costs dairy farmers would have to bear. Sheep and beef farmers in Canterbury, apricot growers in Roxburgh, market gardeners in Pukekohe and kumara growers in Dargaville could all be hit by Labour’s water tax.

“As Irrigation New Zealand points out, an equitable and affordable water tax will be impossible to implement and will cost a fortune to establish.

“If it was really about ensuring efficient water use, why is every other commercial water user, except farmers, exempt?

“A water tax will increase the cost of production which could mean higher costs for New Zealanders for products like milk, cheese and fresh vegetables.

“Improving the quality of our freshwater is important to us all but we must do it sensibly so it doesn’t cost thousands and thousands of jobs across regional New Zealand and impose millions of dollars of costs on communities.

“National’s plan will improve and maintain the economic health of our regions while improving the health of our lakes and rivers at the same time.

“With policies like this, Labour might as well give up the pretence that they care about rural and provincial New Zealand and the small businesses that are at the heart of these areas.”

Labour plans to tax “big” water takes but only those in the country that are used for irrigation.

If water has a taxable value for irrigation, why doesn’t it have a one for other big takes – like power generation and urban water supplies?

Labour isn’t going there because that would be too cost them far too much support.

For all they keep talking about supporting the regions they know they’ve got hardly any support there so it doesn’t matter to them that the tax will add costs to farming.

Unfortunately, while doing that,   it won’t contribute to their aim to clean up waterways:

. . .  IrrigationNZ does not believe that imposing an irrigation tax will lead to New Zealand’s rivers and lakes becoming swimmable.

“This policy fails to recognise the complexities of freshwater management in New Zealand and ignores the billions of dollars of on-farm capital investment which has been put into improving our waterways,” says Andrew Curtis, IrrigationNZ CEO. “A ‘fair and affordable’ variable rate water tax will be impossible to implement and will cost a fortune to establish,” he says. “In no other country in the world is irrigated water paid for through a tax.”

“There is much about Labour’s water policy which aims to yield the economic and recreational benefits of New Zealand’s water for all, this is good, but punishing irrigators by imposing a water tax is not the way to achieve this.

“The only robust and long term solution to restoring waterways is on a case by case basis engaging local communities to find solutions.

“It is time that the value of irrigation in terms of food production and creating jobs is recognised in New Zealand, as it is in every other part of the world. There is considerable public good gained from sustainably managed irrigated agriculture.”

IrrigationNZ would like to point out the following:

• Horticulture and viticulture is not possible in New Zealand without irrigation, therefore an irrigation tax will increase the cost of production and will be passed onto the public when they buy their fresh produce;

• irrigation in New Zealand is not free: irrigators pay for a water permit, pay to be part of an irrigation scheme, and operate within strict limits;

• it is inequitable to single out irrigators when hydro generators, commercial users and urban user will not be charged for their water takes;

• a charge on irrigators will reduce money available for mitigating environmental impacts;

• agriculture has been the backbone of this economy through what have been very challenging economic times globally – everyone has benefitted and now everyone needs to be part of the solution for cleaning up our waterways.

INZ is committed to finding a way for New Zealand to develop sustainably managed irrigation schemes within acceptable environmental limits.

“Water is our most valuable renewable resource and we believe that irrigation in New Zealand is essential to protect against climatic variations and to enhance the country’s ability to feed its population and to contribute to feeding the world,” says Mr Curtis.

Federated Farmers says its a thinly disguised anti-farming policy:

Federated Farmers is asking why the Hon David Cunliffe is talking about helping regional economies on one hand, while announcing new taxes on those same regions to knock them back on the other.

“This is a thinly disguised anti-farming policy that is trying to blame farmers and particularly farmers who irrigate, for all of New Zealand’s water problems,” says Ian Mackenzie, Federated Farmers Environment spokesperson.

“It is clearly misguided and worse it is opening the divide between town and country when we should be working together.

“They know they cannot bring all rivers and lakes up to swimming standards without rebuilding all urban storm water systems and clearing New Zealand of wildfowl at all, let alone, in 25 years.

“Taxing irrigators in Canterbury and Otago to fix up degraded waterways in other parts of the country seems patently unfair.

“As for the practical effect of their anti-farming Resource Rental policy, it can be summarised in Northland, Auckland and the Bay of Plenty as being principally a tax on horticulture.

“In Marlborough and I guess in parts of Hawke’s Bay plus Wairarapa too, it is a tax on grapes as well as fruit and vegetables.

“For the rest of us, it is a tax on wheat, vegetables and pasture production.

“Independent economic modelling indicates that a Resource Rental on water at one-cent per cubic metre of water takes $39 million out of farms and provincial economies.

“This is all money that farmers are currently spending on protecting rivers and streams. Money that is making the towns of Ashburton, Pleasant Point and Oamaru places of employment for thousands of people. The same provincial economies that David Cunliffe wants to help.

“I don’t understand how you can help those towns by punitively taxing the one thing that has driven some prosperity in those regions.

“The Greens want to beat up dairy farmers, Labour wants to do it to irrigators. When will these people realise that others in New Zealand take and pollute water as well.

“Irrigation may take 57 percent of water used but residential and industrial users take 43 percent according to Labour’s own source document. It seems a bit one sided to continuously blame only one sector of the community for effects caused by everyone.

“As New Zealanders we need to collectively own up to our responsibilities and work together if we are to make a difference.

“Farmers have done that. It is time Labour and the Greens recognised that and argued for policies that encouraged the rest of New Zealand to do so too,” Mr Mackenzie.

A general charge would impose costs on production which will affect profit margins or be passed on to consumers in higher prices for food.

It will also be imposed on those doing all they can to keep water clean – which is the majority of farmers – rather than directly targeting the few who don’t.

Water didn’t get dirty overnight.

It will take time to clean it up but good work is being done already with co-operation between farmers, milk companies, councils and community organisations.

That work won’t be helped by labour’s policy which is merely another of their anti-farming taxes.


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